Sanctions on Iran have had "significant impact" - U.S. officials

Top U.S. officials stressed here Wednesday that the "powerful" sanctions imposed on Iran have had a very "significant" impact.

Treasury Undersecretary for Terrorism and Financing David Cohen told a Senate hearing that the "intensity and impact of our sanctions on Iran and how these new authorities, coupled with robust implementation and enforcements, have had a very significant impact on Iran."

He noted that there is "clear evidence' that these efforts are having an impact," with Iran's crude oil and condensate exports dropping by about 50 percent, "or some 1.3 million barrels per day, between January 2012 and early 2013, causing Iran between three (billion dollars) and USD five billion per month." He indicated that in 2012, Iran's GDP fell by some 5-8 percent, "the largest drop since 1988, the final year of the Iran-Iraq War, and the first contraction in 20 years." He continued saying that the value of Iran's currency, the rial, has also "plummeted, losing over two-thirds of its value in the last two years." "We also see the impact of sanctions in less tangible yet more significant ways," he added.

"We are committed to doing more. We will work to increase Iran's economic and financial isolation," Cohen stressed.

He indicated that "we will work to target additional sources of Iranian revenue, including the petrochemical sector." "We will continue aggressively to implement and target Iran's proliferation networks, support for terrorism, sanctions evasion, abuse of human rights and complicit financial institutions," he noted.

He affirmed "we will continue to work closely with Congress in each and every one of these endeavors because we know that we share a common objective, ensuring that Iran does not obtain a nuclear weapon." For her part, State Department Undersecretary for Political Affairs Wendy Sherman told the Senate hearing "when we began all of this, there were 20 countries who imported Iranian oil. We are now down to only six countries who continue to import any Iranian oil." She indicated that "all of those six countries -- which are China, India, Turkey, South Korea, Japan and Taiwan -- have made significant reductions in their importation of Iranian oil." "We are continuing, of course, to press them for further significant reductions as is required under the law," she stressed.

She shed light on the upcoming presidential elections in Iran, stressing "we take no sides in the election, but we know that the desires and aspirations of the Iranian people must start with free, fair and transparent elections." She said that there are probably some candidates "who would be perceived by us as more interested in looking at the nuclear negotiations in a more positive vein." "However, the nuclear file is held by the supreme leader and no one else. And he is the final decision-maker regarding the nuclear file," she noted.

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